George Torr
BBC News, Derby
Ed Collard
BBC News, East Midlands
Bbc
Donna Carr said that financial year 2024-2025 had been the worst since she opened her coffee six years ago
A owner of a small business said that his coffee would find it difficult to survive due to the cost increase and call the government to more support.
Donna Carr directs Dot-Teas Emporium, which also acts as a hub for people to meet for art and craft projects, in Bridge Street in Belper, Derbyshire.
She said that exercise 2024-20 has been the worst since its opening in 2019.
Ms. Carr thinks that the situation for her and others will only increase “due to the expected reduction in the reductions on commercial prices and the cost of living crisis, adding:” I do not think that (the government) does anything to support us. “”
During the new year, national insurance contributions (NIC) for employers should drop from 13.8% to 15%, there will be a reduction in the delivery of business rates and an increase in the minimum wage.
The level at which employers are starting to pay the nics, the secondary threshold, will also reduce £ 9,100 to £ 5,000 per year.
But the employment allowance, which helps eligible employers to reduce their responsibility for the NIC, will drop from £ 5,000 to £ 10,500 to allow small businesses to compensate for the increase.
Since 2020, companies such as cafes, bars and retail units have had a 75% discount on commercial prices – capped at £ 110,000 per business – but this should expire on Tuesday.
‘Spiral down’
Ms. Carr described exercise 2024-25 as “shocking”.
She described her current situation as “hand to hand” and fears that there will be a “descending spiral”.
“I don’t think (the government) thinks of independent companies,” she added.
“They all say” shopping local “, but we are who is hammered.
“We are not large companies, they can afford it, but we cannot.
“I don’t think they do anything to support us.”
Jeevun Sandher, loughborough labor deputy, said the burden of changes would be most felt by the biggest employers
Speaking on Politics East Midlands, Jeevun Sandher, Labor MP for Loughborough, said that the biggest burden of the Nicks concerned the big employers.
“Our changes to national insurance double the employer’s allowance so that you can now employ four people at the national minimum wage without paying national insurance,” he said.
“This means that a million companies will pay the same or less as before … It is essentially a tax reduction in April.
“Our tax decisions were to protect the smallest companies … in order to finance investments in the NHS.
“We have protected the smallest employers by putting (changes) on the largest employers as well as the richest individuals.”
